Honeywell Shares Rise on Q3 Results, Outlook (HON)

Honeywell International Inc. (NYSE: HON) shares rose sharply in trading today after the Morristown, New Jersey-based company announced its third-quarter financial results and raised its full-year guidance.

Honeywell shares rose to an intra-day high of $51.42. The stock ended the day 5.82% higher at $51.28 on above average volume of 8.79 million.

Honeywell, which is a diversified technology and manufacturing company, reported third-quarter sales of $9.3 billion, representing an increase of 14% over the same period in the previous year. Sales in the company’s Aerospace business segment rose 8% on a year-over-year basis, mainly due to a 20% increase in Commercial original equipment and aftermarket volumes.

Honeywell’s Automation and Control Solutions segment reported a 14% increase in sales for the third quarter. Transportation Systems segment sales were up 22% on a year-over-year basis, driven by higher global passenger and commercial vehicle Turbo volumes overall, new platform launches and favorable impact from foreign exchange. The company’s Specialty Materials segment reported a 25% increase in sales for the third quarter of 2011.

Honeywell reported third-quarter earnings of $1.10 per share, representing an increase of 45% over the same period in the previous year.

Following the strong third-quarter financial results, Honeywell raised its full-year sales and earnings guidance. For the full year, the company now expects sales $36.50-$36.70 billion. The company expects 2011 proforma earnings per share of $4-$4.05.

Dave Cote, Chairman and CEO of Honeywell, said that the company’s strong third-quarter results are a continuation of the momentum it has seen across its businesses in 2011. Cote further said that the company’s third-quarter sales growth reflects a particularly robust Commercial Aerospace upcycle, with growth in both original equipment and aftermarket sales.

Cote also said that despite signals of slower economic growth, the company expects positive organic growth to continue the rest of this year and into 2012.

Post Written By: Ed Liston Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.